What is PayGo Finance?

Simply put it is the combination of pay as you go and premium finance which allows the loan to be spread over the insureds payroll periods (weekly, bi-weekly, semi-monthly or monthly).

Pay as you go (PayGo) workers’ compensation uses actual payroll data to calculate premiums each pay cycle while traditional billing uses estimated payrolls making PayGo the most accurate option.  Few insurance companies offer payroll based billing options while the majority are still only offering direct bill plans.  PayGo Finance helps facilitate pay as you go with any carrier and most state funds or assigned risk pools by combining the flexibility of Pay As You Go with the benefits of Premium Finance.

Why PayGo Finance?

PayGo Finance was created by industry leaders with 20 plus years’ experience creating pay as you go billing technology for leading insurance companies.

PayGo Finance was created to assist business owners by providing lower down payments (as low as 10%), improve cash management, better payment options and unparalleled policy and payment transparency.

When should I discuss the PayGo Finance Program with the Policyholder?

As soon as possible and at least 10 business days prior to the effective date.  This allows for quoting, collecting the 10% deposit and funding the appropriate insurer or state fund.

How long does it take to set up and account on PayGo Finance?

Once the premium financing is approved, the down payment will be collected and the account will be set up which can take between 5 – 7 business days.

How is the payroll reported?

The required payroll information can be automatically transferred from approved payroll providers, uploaded into the portal or entered manually in minutes.

How do I find out if a payroll company is approved to report the payroll?

Visit www.approvedpayrollcompanies.com to verify or find a list of our partners.

What if the insureds payroll company is not approved or not on the list?

Provide us the name of the payroll company and we will contact them directly to discuss integration and reporting requirements.  We can typically work with any payroll company.

Are ADP and Paychex approved for PayGo Finance?

No. We do not have an agreement to transfer payroll information from either  We will however reach out on your behalf to determine if arrangements can be made.

What if the insured does not use a payroll company?

We have developed a few different options including file upload or a simple self-entry method which only takes a few minutes.  If necessary we may be able to provide a solution which may require an additional fee.

How often does the payroll need to be reported?

Within 2 days after each payroll cycle unless other arrangements are made.

Will the Policyholder be notified prior to premium withdrawal?

Yes, the next business day following payroll processing the Policyholder will be notified.  The notice outlines the total amount to be debited and the expected timing of the ACH which typically occurs within 2 business days.

How does the process work with a payroll provider?

Most payroll companies are accustomed to transferring or uploading workers’ compensation files and other related data for their clients.  The process and file formats are common and most payroll companies have no problems.

How does a payroll company get approved?

Payroll companies are required to register online and demonstrate their capabilities regarding payroll based reporting.

What happens if the Policyholder changes Payroll Providers?

The new Payroll Provider must be approved to continue the PayGo Finance billing program.  If not, the policyholder can elect to self-report their payroll.

What file formats or data is required for automated reporting?

We accept a variety of payroll data files and have created the most user friendly reporting options available.

How are the premiums or payments calculated?

The premiums are calculated using wage and/or sales information unless other arrangements are made.  Some programs require minimum payments to keep the loan current.

What is the advantage of using PayGo Finance?

Reduced down payment, improved cash flow, real-time premium adjustments, reduces audit anxiety, automated payroll provider reporting, self-reporting options and most importantly – peace of mind.

How are the payments made?

The insured authorizes PayGo Finance to collect the funds directly via Automated Clearing House (ACH) and immediately transfers directly to the lender or insurer.

What if my business is seasonal?

If you don’t have payroll to report, you simply login to PayGo Finance and select “Zero Payroll” which satisfies the lender.  Repeated Zero Reporting may cause the loan or policy to be converted to regular monthly payments with an increased down payment or security requirement.

What happens if the payroll is not reported or is late?

Payroll is a requirement to calculate the premium payments and must be reported according to the schedules provided to avoid policy interruption and/or late fees.

What information is required to create a PayGo Finance in addition to signing the necessary premium finance or loan paperwork?

  • The insureds contact name, phone and email address.
  • The insureds declaration pages and/or rating information.
  • Determine how the insured processes their payroll and the frequency.

How does the insured set up their online account with PayGo Finance?

Once the policy and/or loan is established a registration email is sent directly to the business owner to verify and/or provide missing information – including bank information.

How do I setup a client or insured on PayGo Finance?

  1. Complete PayGo Finance Application to get a quote for your client.
  2. Client accepts quote and makes arrangement to fund down payment.
  • EFT (requires 7-10 business days)
  • WIRE (1-2 days)
  • Check (requires 15 business days)
  1. Client signs Premium Finance Agreement (PFA)
  2. Account is setup in PayGo Finance portal.
  3. Registration email link sent to Business Owner (required registration within 3 days).
  4. Business Owner completes online registration.
  5. Down Payment is collected.
  6. Carrier or State Fund receives total amount financed.
  7. Payroll is reported, payments are calculated and collected via ACH by PayGo Finance.

What is required for an insured to register or complete the online registration?

The insured will confirm the policy contacts, payroll dates, frequencies, banking information and create a user name and password to gain access to the portal.

Does PayGo Finance eliminate the final premium audit?

No.  Insurance companies are required to perform audits consistent with state requirements.  However, an audit variance is less likely if the reported information is accurate and the policyholder has abided by the insurers guidelines.

Is there a minimum premium threshold payment?

Yes. The minimum payment amount will be listed on your Premium Finance or Borrower Agreement as well as on the policy summary in the portal.

How are changes to the policy handled?

Use the same process or arrangements put in place by your insurance adviser and/or lender immediately.  If available in the portal you may have the ability to update or modify certain policyholder information.  New exposures or new locations should be communicated to maintain accurate payments.

Why is it important to include changes or endorsements?

Changes to your policy may increase or decrease the policy and we want to make certain your premiums are paid accurately.

Does PayGo Finance have additional costs or fees?

We are paid by the insurer and/or lender however, if there are any setup charges or processing fees, you will be made aware prior to being charged.